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Renewable Energy Policies and Technological Innovation: Evidence Based on Patent Counts

Environmental and Resource Economics volume 45, pages 133–155 (2010)Cite this article

An Erratum to this article was published on 23 August 2017

Abstract

This paper examines the effect of environmental policies on technological innovation in the specific case of renewable energy. The analysis is conducted using patent data on a panel of 25 countries over the period 1978–2003. We find that public policy plays a significant role in determining patent applications. Different types of policy instruments are effective for different renewable energy sources. Broad-based policies, such as tradable energy certificates, are more likely to induce innovation on technologies that are close to competitive with fossil fuels. More targeted subsidies, such as feed-in tariffs, are needed to induce innovation on more costly energy technologies, such as solar power.

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Authors and Affiliations

  1. Empirical Policy Analysis Unit, OECD Environment Directorate, 2 rue André Pascale, 75775, Paris Cedex 16, France

    Nick Johnstone & Ivan Haščič

  2. The Maxwell School, Syracuse University, 426 Eggers, Syracuse, NY, 13244-1020, USA

    David Popp

  3. NBER, Cambridge, MA, USA

    David Popp

Authors
  1. Nick Johnstone
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  2. Ivan Haščič
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  3. David Popp
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Corresponding author

Correspondence to Nick Johnstone.

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Statement: This paper has not been submitted elsewhere in identical or similar form, nor will it be during the first three months after its submission to the Publisher.

An erratum to this article is available at http://dx.doi.org/10.1007/s10640-017-0176-x.

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Johnstone, N., Haščič, I. & Popp, D. Renewable Energy Policies and Technological Innovation: Evidence Based on Patent Counts. Environ Resource Econ 45, 133–155 (2010). https://doi.org/10.1007/s10640-009-9309-1

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  • DOI: https://doi.org/10.1007/s10640-009-9309-1

Keywords

  • Environmental policy
  • Innovation
  • Patents
  • Renewable energy
  • Technological change

JEL Classifcation

  • Q55
  • Q58
  • O34
  • O38